{"id":103541,"date":"2026-07-30T00:44:07","date_gmt":"2026-07-30T00:44:07","guid":{"rendered":"https:\/\/www.europesays.com\/korea\/103541\/"},"modified":"2026-07-30T00:44:07","modified_gmt":"2026-07-30T00:44:07","slug":"how-south-koreas-tech-rout-hit-hong-kong-and-why-regulators-stepped-in","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/korea\/103541\/","title":{"rendered":"How South Korea\u2019s tech rout hit Hong Kong \u2013 and why regulators stepped in"},"content":{"rendered":"

South Korea\u2019s roller-coaster market, driven by sharp swings in semiconductor giants Samsung Electronics and SK Hynix this year, has also reverberated in Hong Kong, where suspected fund embezzlement by a loss-making investment manager and outcry from leveraged-product investors have made headlines.<\/p>\n

As an international financial centre, Hong Kong serves as a crucial gateway to access the Seoul stock market, with Futu Holdings<\/a> \u2013 the Nasdaq-listed Chinese broker \u2013 just launching South Korea share trading and CSOP Asset Management\u2019s leveraged product drawing strong interest.But as SK Hynix<\/a> faces a brutal sell-off, investors are being warned about the risks of buying high-volatility semiconductor stocks on margin. The warning comes as CSOP\u2019s Hong Kong-listed exchange-traded product (ETF) linked to the tech giant \u2013 known as CSOP SK Hynix Daily (2x) Leveraged Product \u2013 plunged more than 30 per cent on Tuesday. The downward trend continued on Wednesday, with the price dropping by up to 25 per cent at one point.<\/p>\n

The product surged to an all-time high of HK$193.65 (US$24.69) in late June, with its market capitalisation briefly surpassing HK$130 billion (US$16.57 billion) \u2013 making it Hong Kong\u2019s largest ETP \u2013 before collapsing 80 per cent since the start of July.<\/p>\n

The sharp decline tracks a broader sell-off in South Korea, where the Kospi index tumbled more than 11 per cent on Tuesday, triggering its eighth circuit breaker this year. The index also fell below 6,000 points for the first time since April 14, and is now down more than 35 per cent from its June peak.<\/p>\n

Meanwhile, Hong Kong-based Futu has just launched direct Korean stock trading for users, who can trade over 2,700 Kospi<\/a> and Kosdaq stocks \u2013 including SK Hynix and Samsung \u2013 without opening new accounts or exchanging currency, greatly streamlining access.<\/p>\n","protected":false},"excerpt":{"rendered":"South Korea\u2019s roller-coaster market, driven by sharp swings in semiconductor giants Samsung Electronics and SK Hynix this year,…\n","protected":false},"author":2,"featured_media":103542,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[19018,53544,53543,1958,31,335,127,26482,275,33,53545,53542,15472],"class_list":["post-103541","post","type-post","status-publish","format-standard","has-post-thumbnail","category-south-korea","tag-csop-asset-management","tag-csop-sk-hynix-daily-leveraged-product","tag-futu-holdings","tag-hong-kong","tag-korea","tag-kospi","tag-samsung","tag-securities-and-futures-commission","tag-sk-hynix","tag-south-korea","tag-steven-leung","tag-uob-kay-hian","tag-yangtze-memory-technologies"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts\/103541","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/comments?post=103541"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/posts\/103541\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/media\/103542"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/media?parent=103541"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/categories?post=103541"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/korea\/wp-json\/wp\/v2\/tags?post=103541"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}